7th pay commission: Bad news for central government employees
The government at the Centre in general and the RBI in particular have to watch out for inflation. It has to be kept in control and that means any large group, and here we are talking about almost 50 lakh employees and almost a similar number of pensioners, getting a big hike and that money will be spent in the market to a large extent and that will drive inflation. Notably, RBI had flagged the issue of just the housing rent allowance (HRA) post the initial implementation of the 7th pay commission as having impacted overall inflation!
7th pay commission: News about what may affect the future salaries of central government employees is ebbing and flowing fast. A huge number of things can impact the issue one way or the other. Image source: Reuters